Use Cases

Lookalike Models: Convert single purchasers to multi-purchasers

Once you’ve acquired customers, a good way to increase sales and revenue without increasing advertising cost significantly is to target customers that are most likely to return for a second or third purchase. Reaching out to these customers with the appropriate messaging can be the first step in creating loyalty and improving retention.

Define Source and Target Audiences

Begin building a Lookalike Model by selecting your source and target audiences. The desired outcome for the target audience in this case is "multi-purchasers." The source audience will be "single purchasers" who have shown that they are likely to convert and become repeat purchasers.

Build Lookalike Model

In the Lytics UI, go to the Laboratory section and click Create New Model at the top right. On the configuration page, you'll select the source and target audiences that you previously defined. lookalike-model-configuration-single-multi-purchasers

By default, the Auto Tune option is turned off. If you’re not getting enough performance out of your models, try Auto Tune, which will select the default parameters for you. Select Model Training Only if you're in an exploratory phase and not ready to target users based on this model's predictions. Learn more about the configuration options in our Model Builder documentation.

Depending on the sizes of your source and target audiences, your Lookalike Model may take a few minutes up to a few hours to build. On your Model Dashboard, you'll see a "Building" status until the model is complete.

Create Predictive Audience

Once your model is built, view the Model Summary to determine if it's ready for use in your campaign. You must Activate a Lookalike Model before creating a Predictive Audience, which will evaluate users and write the model's prediction scores to user profiles. This process can take up to three days for large audiences.


On the summary page, click Create Predictive Audience in the Model Usage section, which will open the audience builder pre-populated with your model's predictions. The default model decision threshold of 0.5 is used, but you can adjust the decision threshold as needed to reach more users or be more accurate to only target users who are most likely to make additional purchases.


Next Steps

After creating a Predictive Audience of single purchasers most likely to become multi-purchasers, you may want to target these users with discounts, loyalty programs, referral programs, or emails to drive sales.